Gaikindo Data Shows Increase in Chinese EV Market Share in Indonesia

Jakarta (ANTARA) - Public acceptance in Indonesia of the presence of environmentally friendly electric and hybrid vehicles from China continues to rise. This is demonstrated by the increasing wholesale sales share of Chinese brands, which is now approaching one-fifth of total national car sales.

Based on the latest data from the Indonesian Automotive Industry Association (Gaikindo), Chinese brands contributed around 17.3% of vehicle shipments from factories to dealers or national wholesale sales throughout January-February 2026, amounting to 25,602 vehicles. This percentage has increased significantly compared to the same period last year at 7.8% and compared to five years ago, which was still under 2%.

Automotive expert and academic at Bandung Institute of Technology (ITB), Yannes Martinus Pasaribu, states that this trend is primarily driven by success in capitalising on the rapid growth of the domestic electric vehicle (EV) ecosystem.

Chinese brands are said to offer affordable vehicle prices, not only due to government tax incentives but also the ability to reduce production costs by building a complex EV supply chain. On the other hand, Yannes says that Chinese-made cars come with various innovative features, advanced technology, and improvements in assembly quality.

“Consistently since the era of Wuling entering Indonesia, Chinese brands have successfully built a new perspective for the Indonesian automotive market that luxury cars do not have to be expensive, thus beginning to shift market perceptions towards other brands that are starting to be considered overpriced,” he told Xinhua.

Another reason is that Chinese brands are also seen as aggressive in developing after-sales services. Not a few vehicles offered come with very long vehicle and battery warranties, making the cost of vehicle ownership cheaper.

Expansion of dealership construction and production facilities is also massive as proof of the seriousness of these companies in the domestic market. Within a year since debuting in Indonesia in January last year, Geely has had more than 20 dealer networks and targets additions up to a total of 80 branches by the end of this year.

In addition, most brands that newly entered Indonesia last year are now assembling their vehicles locally, including Xpeng and Changan.